All Forum Posts by: Tim Steele

Establish a strong working relationship with a local bank. A mega bank will not help you. I called around town to 20+ local banks and credit unions. Calling around, I asked basic loan options, and then let the banker talk. Many bankers I could never get on the phone; it was always VM. Not what I want in a banker. Doing this, I found a handful of banks to visit and meet face to face. 

I found the right fit. Fave to face, I told them, I'm an investor and want to build the relationship. My first loan, pulled out equity on vehicle - small loan 4k. Paid it back 6 months. Second loan, pulled equity on a rental. Paying it back on time and consistently. Then, I went back requesting another loan. No problem. 

I put a great deal of effort into building the relationship. I created a business plan. My banker has it. I update it each year after taxes. If my banker has any questions or has to defend a loan he has given me, I've given him the tools to do that.

Actionable step: make a list of all the banks in your market, cross out the mega banks, then call around asking loan department about mortgage options. Let them talk and take notes. It still refer back to my notes from 5 years ago.

Hi Nicole, you did great work getting the numbers on the fair market rent.  What do the fair market rents say with the additional square footage of a finished basement? 

Finding that, my next step would be to make an offer to the tenants. "Yes, I can have the basement finished to make the home more comfortable, but the increased usable space would raise the months rent $200." I've found tenants request an upgrade because they had an idea, but they aren't actually serious. If they are willing to pay more for the value, they're serious, and you didn't waste your time doing a lot of leg work. Raising the rent would be fair.

Your contractor should be able to speak about any health and safety concerns. 

I'd write up two documents. First, I would write a memo explaining the work to be done, ensuring the contractor has access (days/times), etc. Then, I would write an addendum to the rental contract for the additional space.

All the best!

I've done it a couple of times and it turned out okay. I have a fix up background, watched some video's, rented a big sander at the local hardware store. Everything was good, but not great. The floors looked good. But not professional. I was able to sell the house and the floors were never an issue. But my target market is affordable homes to first time homes buyers. I would have liked a better result - smooth surface, no streaks, high shine. But, I saved a couple thousand dollars doing it. My advice, make friends with the staff at your local hardware store. The'll point you in a good direction, and they have coffee. 

This is my latest flip. I purchased the property on a online auction site. Most of the work was trash out and updating. Put on a new roof, new HVAC system, added a master bath, upgraded with granite. With multiple bids, had the property on the market 24 hrs and under contract. 

Purchase price: $19,000

Fix up: $40,000

Profit: $33,000

Before

After

@Dmitriy Fomichenko @Brandon Turner

Gentlemen thank you , I appreciate your assistance and welcome!

I did get my technical issue worked out. I will see you mobile. 

Hello Everyone,

Finally following a "quick tip" and upgrading my profile to become more active in the community. I've been investing in real estate for 5 years, and a member of BP for 2.

I could use some advise on one issue. I am currently logged in on my computer - no problem. However, when I log in (attempted) to log in from my phone (Galaxy S4) I receive an error message. I am typing the log in and password correctly - and even if not 1 time out of 30 should work right?  Right? But there is that same error message coming to me like a ranch home - no second story! BaZinga